Here is a terrifying interview with Marc Faber, editor of the Gloom Doom & Boom Report. I find it unsettling how calm and polite he is as he lays out the case for an inevitable collapse of the US dollar hegemony and the destruction of our economic system.

And in case you think he is some sort of doomsayer who just now happens to be correct, keep in mind that throughout his lengthy career, he has made some unbelievable calls - both long and short. So he clearly is not a perma-bear of the Howard Ruff variety. The last time Ruff was on CNBC hoarsely growling his ever pessimistic prognosis, I wondered if this was a contrarian signal from the trading gods. With hindsight’s approval we know that it most certainly was.

In contrast, Marc Faber was bullish at almost the exact bottom of the market earlier this year. So while he is a long term bear, he is the rare breed that is actually able to bob and weave, catching shorter term rallies. Listen to the full interview (in three parts) to find out his case for the utter collapse of capitalism as we know it:

Marc Faber Bloomberg Interview: Part 1

Marc Faber Bloomberg Interview: Part 2

Marc Faber Bloomberg Interview: Part 3

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Faber has too much bearish bias, which is typical of people believing in Austrian economics. History is not on his side, checking his past forecasts and you will find he turn bearish at the end of 2003, and kept that opinion for several years.

badcompany, “History is not on his side”, NO, history IS on his side… every civilization and every country came to power will eventually fail and fall… tell me of anyone that didn’t? American has been great for some time and now is time for it to fall and fail… If given long enough time, human race will fall and fail and be wiped out of existence… nothing last forever and the only “constant” is change itself…

America was great when it first started, just like any other country. Our fore father created America under act of heroism and patriotism. And eventually just like any rich family or country (for that matter) it will die of greed and incompetence…

badcompany, here is a complete look back on his opinions over time. He was both bullish and bearish back then so it is difficult to gauge but from a quick scan you are probably right, he was a bit more pessimistic.

blues, I don’t think a collapse means that the US will be a pile of rubble. Look at the UK for instance, they lost their standing as the top dogs a long time ago but they are still a force to be reckoned with. I think something like that will happen with the US - gradually.

I personally think Faber he’s right, but he doesn’t provide a timing; for me, if FED continues this path, USD will become toilet paper (but other paper currencies as well).

As for the timing, I don’t think deflation has run his course; Faber might be right like in 2/3 years from now. If you look at the bond market, those guys see no inflation at all; watch 10-year yields!

I remember perfectly in spring 2008 Faber was speaking about Bernanke printing like crazy and the dollar will be worthless; he got it wrong for 2008! Yes, Bernanke printed, but credit contracted even faster. That’s why probably now he avoids giving a timing for that collapse happening. Unfortunately, this is a real possibility; these people thinking they can micro-manage value of money, rates, credit, etc. are irresponsible, but they are just the ultimate expression of mass psychology, that’s why are there actually.

On the other hand, I don’t think at all US will become Zimbabwe, not a second; Faber does!